Silver’s ability to continue its rally now hinges on the critical weekly pivot at $30.44. A position above this level indicates strong buyer momentum, positioning the metal for a test of the next resistance at $32,275. If this level is breached, the market could set its sights on the long-term high of $34.87.
Conversely, a decline below $30.44 could signal renewed selling pressure. Key support at $29.68 could come into play, and a break below this level could accelerate the decline to $26.47. These levels are crucial for traders assessing the strength of silver in the current environment.
What will determine Silver’s performance this week?
Silver’s performance in the coming week will depend on several factors. Lingering geopolitical risks could support safe-haven demand and support prices above $30.44. On the other hand, any revival of dollar strength or rising interest rates could limit gains.
In addition, comments from the Federal Reserve and critical US economic figures, such as consumer confidence and housing figures, will play an important role. Market participants will be watching for indications that monetary policy may change faster than expected, as this could impact the direction of silver.
Is Silver Positioned for Continued Strength?
Silver’s rally last week was a testament to its appeal in uncertain times. Traders should keep a close eye on $30.44 as the key to near-term momentum, with $32.275 as the next target. While the risks of a strong dollar and high interest rates remain, safe haven demand and macroeconomic uncertainty may continue to provide support.